Removing Barriers Blog

NCUA Board Issues Letter to Credit Unions with Update on Offsite Examination and Supervision Approach
Posted May 28, 2020 by CUNA Advocacy

The NCUA penned a letter to credit unions on their updated approach for conducting examinations offsite. The key components of their updated approach include continuing offsite work and a return to issuing examination reports.

  • Conducting work offsite
    NCUA’s offsite policy for all employees and contracted support staff will remain in effect until further notice. Examiners will continue to work with credit unions to conduct examination work offsite if the credit union is able to accommodate offsite reviews. Examiners will also be mindful of the impact information requests may have on a credit union experiencing operational and staffing challenges associated with the COVID-19 pandemic. Generally, credit unions will not be required to provide information to conduct offsite work. The more information a credit union can provide for offsite reviews, the more likely the NCUA will not have to return to the credit union until the next examination cycle. Regional offices will continue to coordinate with the state supervisory authorities on examination and supervision efforts for federally insured, state-chartered credit unions.
  • Issuing Exam Reports
    The NCUA understands that credit unions need to focus on providing uninterrupted service to their members. Any corrective actions issued to a credit union will consider the impact of the COVID-19 pandemic on the credit union’s operations and financial condition, and will be prioritized appropriately. Consistent with long-standing practices, examiners will consider the extraordinary circumstances credit unions are facing when reviewing a credit union’s financial and operational condition and assigning CAMEL and risk ratings.